I have not been taken by hosting scams in the past, but I have had people mention them. So I'm curious, how common are hosting scams, and what kind of thing tends to be offered in a scam?
I was scammed a long time ago - You will tend to find that it is an offer for something unrealistically fantastic for very little.
I was scammed by a hosting scammer - They offered me unlimited everything at a bargain price! I fell for it and within 2 months they had folded and I lost a whole years hosting!
I think the best thing to avoid scammers is to research on the forums, remember that you normally only get what you pay for... And if it looks 'Too good to be true' ... Then it probably is!
Unfortunately there in lies the other side of the scams-the only one I have yet experienced. Too often on forums the owner of the scams can be the ones writing the posts or the reviews. The only reviews I ever really believe are negative ones unfortunately.
They are quite prevalent everywhere still. I am sure you were taken for a scam and didn't even know it. Do a search for "Top 10 Hosting" or just "web hosting" and click on the top paid links for the review sites that come up. Most are basically affiliate link farms. These are not true reviews and are misleading you into clicking the top 10 companies listed on their sites so they can get paid an affiliate commission.
The majority of hosting review sites are scams and if you clicked on any of their top 10 links thinking they were actually real reviews you were wrong and mislead.... you were scammed.
Also if you researched a bit more you'd find that many of them are owned by brothers and cousins of owners of the top hosting companies.